Bessent Tackles US Debt Crisis with Market Expertise

Scott Bessent, the newly appointed US Treasury Secretary, has a reputation for predicting market cracks. In 1992, as a young analyst at George Soros's fund, he helped build a short position against the British pound that netted Soros more than $1 billion on Black Wednesday.

Bessent's latest challenge is tackling the country's massive debt of roughly $40 trillion, with the Congressional Budget Office reporting net interest on public debt reached $963 billion from October 2025 through July 2026. The 10-year Treasury yield has climbed to 4.72%, while the 30-year yield sits at 5.31%.

Bessent's background in market analysis and intervention is being put to use, with the US Treasury joining a joint yen-buying intervention with Japanese authorities on July 31, 2026. However, some experts question whether this approach can effectively address the country's debt issues.